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Las Vegas tourism numbers drop as domestic travelers cut back on spending

Las Vegas tourism numbers
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LAS VEGAS (KTNV) — The city welcomed about 3.4 million visitors in May, marking a 6.5% drop from the same period last year.

WATCH: Alyssa Bethencourt reports the latest on tourism numbers in Las Vegas

Las Vegas tourism numbers drop as domestic travelers cut back on spending

"What's down is domestic travelers to Las Vegas and elsewhere, and it's generally caused by the drop in consumer confidence, in consumer sentiment, concern about what might happen to the economy that's caused them to pause a little bit," Steve Hill with the Las Vegas Convention and Visitors Authority said.

Hotel occupancy slipped to 83%, meaning more empty rooms and less revenue, particularly from leisure travelers who aren't visiting for business purposes.

"There are concerns about rising resort fees and hotel fees and of course the expenses related with dining and live entertainment… in this economy and lingering inflation. It is a reason to be concerned and Las Vegas is not alone," John Boyd, economic data analyst at The Boyd Company, said.

Airport traffic is also down, contributing to the overall decline in tourism numbers.

One bright spot in the report shows convention attendance increased more than 10% compared to last year. However, this growth isn't enough to offset the decrease in vacationers, who typically spend more on entertainment and dining.

Tourism officials say they're monitoring the trend closely, especially as the busy summer travel season approaches.

Between higher prices and economic uncertainty, many potential visitors are choosing to stay home or reduce their travel budgets.

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